4 the 1 m ul ti pl e c 1 h o i c e the

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Unformatted text preview: mployment of 20. will lead to D) unemployment of 40. will have no the minimum wage is set above the equilibrium wage and for a minimum wage to have any effect effect because on the labor market it must be below the equilibrium wage. Answer: C Diff: 1 Topic: Explaining the Existence of Unemployment Skill: Analytic AACSB: Analytic Skills 31) Refer to Figure 14.4. A minimum wage of $8 A) will lead to an excess demand for labor of 20. B) will lead to an excess demand for labor of 40. C) will lead to an excess demand for labor of 60. D) will have no the minimum wage is set below the equilibrium wage and for a minimum wage to have any effect effect because on the labor market it must be above the equilibrium wage. Answer: D Diff: 2 Topic: Explaining the Existence of Unemployment Skill: Analytic AACSB: Analytic Skills 32) Refer to 14.4. A firm might pay wages above $10 per hour if it believes such a wage will result in all of the Figure following EXCEPT A) reduce worker shirking. B) reduce worker turnover. C) improve worker moral. D) agitate unions...
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This note was uploaded on 06/02/2013 for the course ECON 130 taught by Professor Meshew during the Fall '13 term at Victoria Wellington.

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